Two important BTC supply metrics are sending conflicting signals about whether a retracement will occur before the Bitcoin halving. The stablecoin supply rate oscillator (SSRO) has reached a new all-time high, indicating a strong appetite for Bitcoin accumulation. However, this also suggests that the purchasing power of stablecoins is at a relative all-time low. This divergence in the SSRO has historically preceded a retracement period before the halving event. On the other hand, the reserve risk (RR) indicator, which measures risk-reward incentives, is at multiyear lows, indicating high confidence in Bitcoin’s future price performance. Long-term holders may be well-positioned for significant gains, especially considering their control over an all-time high of the total supply. With the potential inflows into a Bitcoin ETF, many are predicting six-figure BTC prices after the halving.
